The Bureau of Industry and Security’s latest export control enforcement action against a semiconductor firm shows the agency may be preparing to target companies that flout its high probability standard, a trade lawyer and industry consultant said.
The House Appropriations Committee released an FY 2026 Commerce-Justice-Science appropriations bill July 14 that would provide $303 million for the Bureau of Industry and Security, up $112 million or 59% from the FY 2025 enacted level.
The U.S. government, together with industry, needs to set clearer guardrails around sensitive technology shipments destined to China, two panelists said during an event on export controls last week. Another panelist questioned whether the Trump administration is willing to set tougher rules, saying Beijing appears to have recently gained extra leverage and adding that the U.S. has for years failed to deter companies from flouting restrictions against China.
The Bureau of Industry and Security recently updated its website to allow users to search through the Commerce Control List’s Export Control Classification Numbers by keywords. Users can search keywords across all ECCNs or within just one CCL category.
The Senate Appropriations Committee endorsed a proposal July 10 to urge the Bureau of Industry and Security to create a program to provide financial rewards to those who report illegal exports of advanced semiconductors and AI-enabling chips to “foreign adversaries.”
The Bureau of Industry and Security is progressing on a final rule that would relax certain export controls on Syria. BIS sent the rule for interagency review June 8, about a month after an agency official confirmed that BIS planned to lift some controls over the country (see 2506100052). President Donald Trump on June 30 authorized the "relaxation" of Syria-related export controls, specifically with respect to items on the Commerce Control List (see 2506300055).
Beijing is following through on a trade agreement recently reached with Washington by approving license applications for certain exports to the U.S., a Ministry of Commerce spokesperson said July 4 in response to a reporter's question at a press conference, without providing specific details.
Companies should expect the Bureau of Industry and Security to continue a steady pace of penalties against export violators, particularly for cases involving semiconductors and other advanced technologies, said Gregory Dunlap, the former special agent in charge of the agency’s Los Angeles field office. And if Congress grants the agency’s request for more funding, Dunlap said, BIS could soon have the resources to more quickly carry out investigations and probe a greater number of exporters.
The U.S. should take several steps to reduce red tape and streamline arms sales and technology transfers to close trading partners, including more frequently reviewing the jurisdiction of export-controlled items and combining reviews of weapons requests from allies, researchers said in a new report.
The House Foreign Affairs Committee’s arms sales task force is considering recommending that the Trump administration create a joint “fusion cell” or office to help industry track the U.S. government’s review of defense export requests, a key lawmaker said July 2.